This Week in News: Prop Trading and “Fake” Reviews, TipRanks Launches AI Stock Analyst

Building a Brand with “Fake” Reviews?

A brief look at the key events shaping the markets: To what extent can prop firms go to create a positive public image? Well, prop trading platform Hola Prime boasts an “Excellent” Trustpilot score on its homepage. However, this week, its Trustpilot profile displays the message: “This company’s rating is unavailable due to a breach of our guidelines.”

Furthermore, the prop platform was launched around October or November last year, but hosted traders' experience on Trustpilot from as early as May 2025. “We’ve detected and removed a number of fake reviews for this company,” Trustpilot now displays on Hola Prime’s profile page, highlighting a “Breach of Guidelines.”

Saxo Bank Reports Record-Breaking Profit

And keeping up with financial reports, the Danish online trading and investment company Saxo Bank Group announced record-breaking 2024 numbers, with net profit soaring 287% to €135 million from €35 million in the previous year. The company's adjusted net profit reached €144 million, marking the most successful year in its history.

By the end of 2024, Saxo Bank's client base had grown to almost 1.3 million, up from 1.16 million at the end of 2023. Total client assets under management also hit an all-time high of €114 billion, representing a 14% increase from the previous year's €100 billion.

Meanwhile, Saxo Bank anticipates a negative impact on its revenue in 2025 following its decision to restructure its distribution model and narrow the number of markets, which resulted in the offboarding of existing clients in 2024.

However, the company highlighted in the Outlook section of its 212-page annual report that the move has enabled it to be “more focused on future growth.”

Admirals Sees 46K Client Exodus

Also, in our news bulletin, Admirals Group AS reported a net loss of 1.6 million euros for the fiscal year 2024, a significant improvement from the 9.7 million euro loss in 2023. However, the company faced headwinds as trading activity declined, with the number of active clients dropping by 52% to 43,332.

Net trading income for the year stood at 38.4 million euros, down 6% from 40.9 million in 2023. The total value of trades executed through Admirals' platforms decreased by 42% year-on-year to 510 billion euros.

In other news, Admirals is once again accepting new clients in the European Union following a temporary pause earlier in 2024. The company halted EU onboarding to refine its compliance framework in line with evolving financial regulations. The temporary halt in new EU registrations involved Admirals' efforts to strengthen its compliance measures.

Admirals reportedly sold its Australian unit to PU Prime, another forex and contracts for differences (CFDs) broker, Finance Magnates learned. And in another of our exclusive reports, AMTS Solutions took a step toward independence after years of operating under the Admirals brand. The management team, led by industry veteran Dmitry Rannev, reportedly acquired a majority stake from Admirals Group AS.

CRM Solutions Provider Proftit to Shut Down Operations

Away from the latest developments at Admirals, Proftit Ltd, a provider of CRM solutions to brokers and prop firms, decided to close down its current operations to consider and implement strategic changes, Finance Magnates has learned.

According to the company, the decision came after a careful evaluation of prevailing market trends, as it has recognized that “future opportunities lie outside of its current focus, and a substantial realignment would be required.” However, it remains unclear in which direction the company will align its business strategy in the future.

Regulatory Shifts Reshape Trade Reporting

On the regulatory front, recent updates under the EU EMIR Refit, UK EMIR Refit, and the ASIC and MAS Rewrite frameworks have introduced stricter trade reporting obligations. Market participants must adjust their agreements with liquidity providers to comply with the new requirements.

A primary focus is the Unique Transaction Identifier (UTI). The regulatory regimes mandate that both parties to a trade submit identical UTIs in their transaction reports. The responsibility for UTI generation should be clarified in trading agreements or separate bilateral documents.

Liquidity agreements require careful review. Several factors must be considered when entering or renegotiating such agreements, whether with a Prime-of-Prime or Prime Broker. Firms should determine if their assets are segregated from the LP’s own funds and those of other clients. If there is no segregation, the jurisdictional rules and risks involved must be assessed.

Regulating Signal Providers in South Africa

South Africa became the first country to mandate a license for signal providers. However, the local regulator did not just issue a notification for signal providers, mentioning the requirement for a license. Rather, it imposed an administrative penalty of over 1 million rand (about US$57,000) on a forex signal provider and clarified the mandatory requirement of obtaining a license.

The South African Financial Sector Conduct Authority (FSCA) clarified that “the practice of providing or publishing signals with reference to online trading in financial products falls within the definition of financial services in the FAIS Act, and as such, persons providing such signals require a financial services provider license.”

TipRanks Launches “The Most Comprehensive AI Stock Analyst”

In the emerging technological space, TipRanks, a market research aggregator, brought artificial intelligence (AI) closer to investors with the launch of Spark, its most comprehensive AI stock analyst, Finance Magnates, has learned.

“We are exceptionally proud to unveil the AI Stock Analyst—the world’s first and most comprehensive AI analyst,” said Uri Gruenbaum, Founder and CEO of TipRanks, which was acquired by Prytek last year for $200 million.

SEC Dismisses Kraken Lawsuit

The regulatory winds of change are sweeping through the US crypto market as the regulator drops lawsuits against most crypto companies. Cryptocurrency exchange Kraken announced this week that the US Securities and Exchange Commission (SEC) had agreed in principle to dismiss a civil lawsuit accusing it of operating as an unregistered securities exchange.

Kraken confirmed that the lawsuit dismissal is with prejudice, meaning it cannot be refiled. The company stressed that the dismissal comes without any admission of wrongdoing, no penalties, and no changes to its operations, as reported by Reuters.

In Europe, the Markets in Crypto-Assets (MiCA) regulation is transforming the continent's digital asset landscape, with early impacts already visible in market shifts and competitive dynamics in the industry. Are companies ready for the new regulations? We asked industry representatives and compliance experts, and the findings are rather grim.

U.S. Unveils Strategic Reserve

Lastly, President Trump's announcement of a U.S. strategic cryptocurrency reserve sends Bitcoin, Solana, and XRP prices skyrocketing, signaling a bold move into digital assets. The financial intelligentsia has entered the chat, offering a mix of enthusiasm and eyebrow-arching skepticism.

Federico Brokate, head of U.S. business at 21Shares, remarked that the U.S. government's move “signals a shift toward active participation in the crypto economy” and has “the potential to accelerate institutional adoption, provide greater regulatory clarity, and strengthen the U.S.'s leadership in digital asset innovation.”

Happy weekend!